FedEx Freight, the less-than-truckload unit of FedEx Corp. (NYSE: FDX), will close 29 service locations in the U.S. as part of an ongoing efficiency drive.
The closures will occur by Aug. 13, the unit said Monday. The affected operations will be consolidated into other locations. The company is working with employees to find positions elsewhere in the system. It is unclear how many workers will be affected. There are 371 stations across the Ground system.
Separately, FedEx Freight will furlough an undetermined number of drivers for 90 days starting May 28 to adjust capacity with slowing demand. Eligible employees will be offered permanent transfer opportunities to other markets that have hiring needs, the unit said. FedEx Freight will maintain health benefits for the furloughed employees, the unit said.
This is a temporary workforce adjustment, and all furloughed employees will be recalled on or before Aug. 25, the company said.
There have been multiple driver furloughs at the unit since business began to slow months ago. The last was announced at the beginning of February.
Drew
Some of you aren’t aware of the different divisions of FedEx and how they operate. Freight is the heavyweight division (usually requires a forklift to load/unload). Ground is typically heavy boxes and small parcel as with express. That’s why those two units are being combined by 2024.
Blair Mitchell
I actually like FedEx Freight. We use them quite a bit and they have been reliable. Yes, some cargo gets damaged occasionally, but for us it is rare. I have used several other LTL carriers and I keep coming back to FedEx Freight.
Joseph
Service in this industry has gone soft but quantity in service has never been worse. Not just these guys LTL is doing worse.
Bob M
Most truck wrecks on the road are Fed Ex, who wants damaged freight.
Dave
Maybe their declining volume is their poor service . . . I have stopped making on-line purchases from retailers who use fedex as EVERY shipment they moved was screwed up, not only coming to me in Houston, but those sent to family and friends around the U.S.
Dan Johnson
John. You sent an envelope that is package. Freight is larger shipments pallets and other
John adams
They priced them selfs out,rate out of site ,no one will ship with there rates,I stop using after sending flat envelope from Colorado to Houston Texas cost $69 dollars
john loughlin
golf fedex points great advertisement every week its talked about cheap advertisement for yr